cryptopolitan.com
World Liberty Financial ($WLFI), the crypto venture majority-controlled by the family of President Donald Trump, has announced the expansion of its $USD1 stablecoin onto the Canton Network, a move that is being widely touted as an aggressive expansion because of how it shifts $USD1 from general retail blockchains into a network deliberately designed for regulated institutional finance.
This comes after the Abu Dhabi investment firm MGX made a significant $2 billion investment into Binance, fully completed using the $USD1 stablecoin, and Binance introduced $USD1 trading pairs for popular tokens, including $BNB, $ETH, and $SOL
$USD1 enters Cantor Network
The $USD1 stablecoin is regarded as one of the fastest-growing digital dollar stablecoins, with its $2.7 billion market capitalization. The fully reserved, 1:1 redeemable digital asset is backed entirely by short-term U.S. government treasuries, U.S. dollar deposits, and other cash equivalents.
As earlier stated, the decision to launch $USD1 on the Canton Network highlights $WLFI’s aim to expand the stablecoin’s capabilities into a regulated, interoperable ecosystem designed for global finance.
Unlike regular blockchains, Canton boasts an architecture that allows institutions to settle tokenized assets and stablecoins with privacy, control, and compliance, enabling a wide range of high-value financial use cases.
Some of those use cases include collateralization for derivatives and institutional lending, instant, cross-border payments with 24/7 settlement, on-chain asset issuance, funding, and redemption, as well as interoperable on-chain financing across institutions and markets.
“Institutions around the world, from sovereign entities to global asset managers, are looking for a trusted and purely digital U.S. dollar,” said Zak Folkman, Co-Founder and Chief Operating Officer of World Liberty Financial.
According to Folkman, the intention to deploy $USD1 on Canton will not only allow regulated institutions to transact securely and privately but also do so while leveraging the programmability and efficiency of blockchain technology.
“Canton’s institutional-grade infrastructure creates an ideal foundation for real-world digital dollar settlement,” Folkman added.
“$WLFI’s move to bring $USD1 to Canton highlights the growing demand for compliant, interoperable digital assets within institutional markets,” said Melvis Langyintuo, Executive Director of the Canton Foundation. “Canton’s privacy-first architecture enables stablecoins like $USD1 to power next-generation financial applications, from intraday repo to digital bond settlement, without compromising regulatory requirements.”
Binance added new $USD1 trading pairs
The recent development regarding $WLFI comes days after Binance, the world’s largest cryptocurrency exchange, announced that users can now trade tokens like $BNB, $ETH, and $SOL using $USD1 trading pairs.
Last week, the exchange revealed plans to bring $USD1 “into several of the platform’s most active spot markets.” It also said that within the week, it would be converting all collateral assets backing Binance-Peg BUSD (B-Token) into $USD1 at a 1:1 ratio.
“The transition means $USD1 will become an integral part of Binance’s updated collateral structure, further embedding the stablecoin within the exchange’s ecosystem,” World Liberty said in a statement.
Currently, there are about $2.8 billion worth of $USD1 in circulation, according to DeFiLlama data. Much of the supply originates from the Abu Dhabi investment firm MGX’s decision to use $USD1, earlier this year, to make a $2 billion investment into Binance.
“Binance’s expansion of $USD1 marks an important moment in $WLFI’s effort to make digital US dollar stablecoins available to people everywhere,” World Liberty CEO and co-founder Zach Witkoff said in a statement. “By integrating $USD1 into liquidity, trading, and collateral systems on the world’s largest exchange, Binance is giving hundreds of millions of users improved access to $USD1.”